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Project Report MANB 451 Name of Project

Business Administration (Dr. Babasaheb Ambedkar Marathwada University)

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PROJECT REPORT
(MANB-451)
ON

“TITLE OF THE PROJECT”

In Partial Fulfillment of
Requirements for the Award of Degree of
MASTER OF BUSINESS ADMINISTRATION (MBA)
of Dr. Babasaheb Ambedkar Marathwada University, Aurangabad

Submitted by
Name of the Student

MBA [I Sem]
Roll No.:

Under the Guidance of

Name of Project Guide

MGM
Institute of Management (IOM)
N-6, CIDCO, Aurangabad-431003

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CERTIFICATE

This is to certify that the Project report on “Title of the project” submitted by Name of the
Student is the result of her/his original research work completed under our supervision. To
the best of our knowledge & belief the work embodied in this Project Report has not formed
earlier the basis for the award of any degree or similar title of this for any other examining
body.

Project Guide Coordinator Academics Director

(Name) (Prof. Anil Palve) (Dr. Col Pardeep Kumar)

DECLARATION

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I, undersigned, hereby declare that Report on “Title of the project” submitted by Name of
the Student to the MGM Institute of Management, CIDCO, Aurangabad is my original work
& the conclusions drawn there in are based on the data & material collected by myself.

Name & Signature of the Student

(Roll No.)

Place: Aurangabad
Date:

ACKNOWLEDGEMENT

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Firstly I would like to express our immense gratitude towards our institution MGM
INSTITUTE OF MANAGEMENT which created a great platform to attain profound
technical skills in the field of MBA, thereby fulfilling our most cherished goal.
I am very much thankful to our PROF. Dr. Geetanjali Kaushik for extending his cooperation in
doing this project.
I convey my thanks to my beloved faculty and my parents who helped me directly or indirectly in
bringing this project successfully.

INDEX

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Chapter Contents Page. No.

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Abstract

The research has been conducted to know the perception towards Maruti cars in
Aurangabad. The study was conducted to know what the people’s expectations from Maruti
cars. The problems faced by the consumers with regard to maruti cars were also inquired into
and thereby their overall satisfaction level was studied. This research and mainly primary
data is used for the purpose of data collection. The result indicates that people are satisfied
with the maruticars.

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Objectives

I. To Study the factors influencing the choice for a Maruti cars.

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II. To Study the satisfaction level of consumers of Maruti cars.

Introduction

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Training and development of human resources has evoked a great deal of interest in
recent years. Human resource management has two basic approaches: a reactive, or problem-
solving approach, and a proactive, or forward-looking approach. Training is used in both.
Training is a systematic process of changing the behavior, knowledge, and attitudes of present
employees to improve the match between employee characteristics and employment
requirements.
In the present day radical changes, organizations are shriving hard to maintain a
viable and knowledgeable work force. Obviously, employee training and development has
become not only an activity that is desirable but also become a big business and getting
bigger.

What Is Training?

New problems, new procedures and developments in technology, new knowledge and
job requirements are constantly creating the need for training thus making it a continuous
process. Coping with the changes essentially involves increased emphasis on human
resources development. Development of human resources involves acquisition of new
abilities with changed skills, knowledge and attitude of the employee necessary for better
performance. Development includes both training to increase skills in performing a specific
job and education to increase general knowledge of the total environment.

Thus, training and development activities can become meaningful when integrated with the
overall human resource development strategy of an organization. They have assumed great
importance with the phenomenal and unprecedented changes in the internal and external
environments of today’s organizations. Training supposed to bring about change in the
behaviors of employees so as to enable them to meet the current and future requirements of
their tasks and roles.

IMPORTANCE AND BENEFIT OF TRAINING:

Employee training has become necessary and increasingly important as jobs have
become more sophisticated and influenced by technological changes. Every organization
needs to have well-trained and experienced people to perform the activities that have to be
done. As jobs have become more complex, the importance of employee training has

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increased. Training may mean changing what an employee knows, how he works, his
attitudes towards his work or his interactions with his co-workers or his supervisors. Training
is concerned with helping people to acquire the knowledge, skills and attitudes necessary to
do the work for which they are employed. It must create changed behavior. Training today’s
has become an integral part of any organizations operations. Training, allied to other human
resource functions within management, ensures a pool of manpower of the required levels of
expertise at the right time. Training plays a crucial role in human resources development.
Today no organization can ignore the training and educational or developmental needs of its
employees for a long time without seriously hampering their effective performance.
Training and development of human resources will return values to the organization in
terms of increased productivity, heightened morale, reduced costs, and greater organizational
stability and flexibility to adapt to changing external requirements. Training and development
efforts are also helpful in achieving high standards of quality, building up satisfactory
organization structure, reducing employee dissatisfaction, eliminating the need for constant
supervision, and equipment them with capabilities for promotion of cordial and healthy
industrial relations through better handling of complaints and grievances.

AIMS AND OBJECTIVE OF TRAINING:

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Training and development programme, faster the initiative and creativity of

employees and help to prevent manpower obsolescence due to age, temperament or
motivation or the inability of a person to adapt himself to technological changes”, Lastly,
personal growth of individual employees resulting from “their exposure to educational
experience including an enlightened outlook, a wider awareness and greater capacities of
thought, imagination and power of analysis and decision-making.

Specific objectives of training are:

i) The production of work to required standards of quality, quantity, costs and time.
ii) The development of staff, by skill and knowledge, to meet the foreseeable needs
of the organization, i.e.
- higher productivity
- Increased efficiency in operation.
- A safe and harmonious working environment.

INTRODUCTION : MARUTI CARS

Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited, is an

automobile manufacturer in India. It is a subsidiary of Japanese automobile and motorcycle
manufacturer Suzuki. As of November 2012, it had a market share of 37% of the Indian
passenger car markets. Maruti Suzuki manufactures and sells popular cars such as the Alto,
Ritz, Celerio, Swift, Wagon R, Zen, DZire, Ciaz, Kizashi, SX4, Eeco, Omni, Ertiga, S-Cross
and the Grand Vitara.

The company's headquarters are at No 1, Nelson Mandela Road, New Delhi. February 2012,
the company sold its ten millionth vehicle in India.

History

Logo of Maruti Udyog

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Maruti Udyog Limited was established in February 1981, though the actual
production commenced only in 1983. It started with Maruti 800, based on the Suzuki Altokei
car which at the time was the only modern car available in India. Its only competitors were
Hindustan Ambassador and Premier Padmini. Originally, 74% of the company was owned by
the Indian government, and 26% by Suzuki of Japan. As of May 2007, the government of
India sold its complete share to Indian financial institutions and no longer has any stake in
Maruti Udyog.

Chronology

Beginnings

Maruti's history begins in 1970, when a private limited company named 'Maruti
technical services private limited' (MTSPL) was launched on November 16, 1970. The stated
purpose of this company was to provide technical know-how for the design, manufacture and
assembly of "a wholly indigenous motor car". In June 1971, a company called 'Maruti
limited' was incorporated under the Companies Act and Sanjay Gandhi became its first
managing director. "Maruti Limited" went into liquidation in 1977. On 23 June 1980 Sanjay
Gandhi died when a private test plane he was flying crashed. A year after his death, and at the
behest of Indira Gandhi, the Indian Central government salvaged Maruti Limited and started
looking for an active collaborator for a new company. Maruti Udyog Ltd was incorporated in
the same year through the efforts of Dr V.Krishnamurthy

Suzuki enters

In 1982, a license & Joint Venture Agreement (JVA) was signed between Maruti
Udyog Ltd. and Suzuki of Japan. At first, Maruti Suzuki was mainly an importer of cars. In
India's closed market, Maruti received the right to import 40,000 fully built-up Suzukis in the
first two years, and even after that the early goal was to use only 33% indigenous parts. This
upset the local manufacturers considerably. There were also some concerns that the Indian
market was too small to absorb the comparatively large production planned by Maruti
Suzuki, with the government even considering adjusting the petrol tax and lowering the
excise duty in order to boost sales. Finally, in 1983, the Maruti 800 is released. This 796 cc
hatchback is based on the SS80 Suzuki Alto and is India’s first affordable car. Initial product
plan is 40% saloons, and 60% Maruti Van. Local production commences in December 1983.

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In 1984, the Maruti Van with the same three-cylinder engine as the 800 was released and the
installed capacity of the plant in Gurgaon reached 40,000 units.

In 1985, the Suzuki SJ410-based Gypsy, a 970 cc 4WD off-road vehicle, was
launched. In 1986, the original 800 was replaced by an all-new model of the 796 cc
hatchback Suzuki Alto and the 100,000th vehicle was produced by the company.In 1987, the
company's started exporting to the West, when a lot of 500 cars were sent to Hungary. By
1988, the capacity of the Gurgaon plant was increased to 100,000 units per annum.

Market liberalisation

In 1989, the Maruti 1000 was introduced and the 970 cc, three-box was India’s first
contemporary sedan. By 1991, 65 percent of the components, for all vehicles produced, were
indigenized. After liberalization of the Indian economy in 1991, Suzuki increased its stake in
Maruti to 50 percent, making the company a 50-50 JV with the Government of India the
other stake holder.

In 1993, the Zen, a 993 cc, hatchback was launched and in 1994 the 1298 cc Esteem was
introduced. Maruti produced its 1 millionth vehicle since the commencement of production in
1994. Maruti's second plant was opened with annual capacity reaching 200,000 units. Maruti
launched a 24-hour emergency on-road vehicle service. In 1998, the new Maruti 800 was
released, the first change in design since 1986. Zen D, a 1527 cc diesel hatchback and
Maruti's first diesel vehicle and a redesigned Omni were introduced. The
1.6 litreMarutiBalenothree-box saloon and Wagon R were also launched.

In 2000, Maruti became the first car company in India to launch a Call Center for
internal and customer services. The new Alto model was released. In 2001, Maruti True
Value, selling and buying used cars was launched. In October of the same year the Maruti
Versa was launched. In 2002, Esteem Diesel was introduced. Two new subsidiaries were also
started: Maruti Insurance Distributor Services and Maruti Insurance Brokers Limited. Suzuki
Motor Corporation increased its stake in Maruti to 54.2 percent.

In 2003, the new Suzuki Grand Vitara XL-7 was introduced while the Zen and the
Wagon R were upgraded and redesigned. The four millionth Maruti vehicle was built and
they entered into a partnership with the State Bank of India. Maruti Udyog Ltd was Listed on

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BSE and NSE after a public issue, which was oversubscribed tenfold. In 2004, the Alto
became India's best selling car overtaking the Maruti 800 after nearly two decades. The five-
seaterVersa 5-seater, a new variant, was created while the Esteem was re-launched. Maruti
Udyog closed the financial year 2003-04 with an annual sale of 472,122 units, the highest
ever since the company began operations and the fiftieth lakh (5 millionth) car rolled out in
April 2005. The 1.3 L Suzuki Swift five-door hatchback was introduced in 2005.

In 2006 Suzuki and Maruti set up another joint venture, "Maruti Suzuki Automobiles
India", to build two new manufacturing plants, one for vehicles and one for engines. Cleaner
cars were also introduced, with several new models meeting the new "Bharat Stage III"
standards. In February 2012, Maruti Suzuki sold its ten millionth vehicle in India. For the
Month of July 2014, it had a Market share of >45 %.

Joint venture related issues

Relationship between the Government of India, under the United Front (India)
coalition and Suzuki Motor Corporation over the joint venture was a point of heated debate in
the Indian media until Suzuki Motor Corporation gained the controlling stake. This highly
profitable joint venture that had a near monopolistic trade in the Indian automobile market
and the nature of the partnership built up till then was the underlying reason for most issues.
The success of the joint venture led Suzuki to increase its equity from 26% to 40% in 1987,
and further to 50% in 1992. In 1982 both the venture partners had entered into an agreement
to nominate their candidate for the post of Managing Director and every Managing Director
will have a tenure of five years

Manufacturing facilities

Maruti Suzuki has two manufacturing facilities in India. Both manufacturing facilities
have a combined production capacity of 14,50,000 vehicles annually. The Gurgaon
manufacturing facility has three fully integrated manufacturing plants and is spread over 300
acres (1.2 km2). The Gurgaon facilities also manufacture 240,000 K-Series engines annually.
The Gurgaon Facilities manufactures the 800, Alto, WagonR, Estilo, Omni, Gypsy, Ertiga,
Ritz and Eeco.

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The Manesar manufacturing plant was inaugurated in February 2007 and is spread
over 600 acres (2.4 km2). Initially it had a production capacity of 100,000 vehicles annually
but this was increased to 300,000 vehicles annually in October 2008. The production capacity
was further increased by 250,000 vehicles taking total production capacity to 800,000
vehicles annually. The Manesar Plant produces the A-star, Swift, Swift DZire, SX4, Ritz and
Celerio. On 25 June 2012, Haryana State Industries and Infrastructure Development
Corporation demanded Maruti Suzuki to pay an additional Rs 235 crore for enhanced land
acquisition for its Haryana plant expansion. The agency reminded Maruti that failure to pay
the amount would lead to further proceedings and vacating the enhanced land acquisition. It
plans to set up a plant in Gujarat and has acquired 600 acres of land.

Industrial relations

Since its founding in 1983, Maruti Udyog Limited has experienced problems with its
labor force. The Indian labour it hired readily accepted Japanese work culture and the modern
manufacturing process. In 1997, there was a change in ownership, and Maruti became
predominantly government controlled. Shortly thereafter, conflict between the United Front
Government and Suzuki started. In 2000, a major industrial relations issue began and
employees of Maruti went on an indefinite strike, demanding among other things, major
revisions to their wages, incentives and pensions.

Employees used slowdown in October 2000, to press a revision to their incentive-

linked pay. In parallel, after elections and a new central government led by NDA alliance,
India pursued a disinvestment policy. Along with many other government owned companies,
the new administration proposed to sell part of its stake in Maruti Suzuki in a public offering.
The worker's union opposed this sell-off plan on the grounds that the company will lose a
major business advantage of being subsidized by the Government, and the union has better
protection while the company remains in control of the government.

The standoff between the union and the management continued through 2001. The
management refused union demands citing increased competition and lower margins. The
central government privatized Maruti in 2002 and Suzuki became the majority owner of
Maruti Udyog Limited.

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Literature Review

Products and services

Current models

Model Launched Category Image

Omni 1984 Minivan

Gypsy 1985 SUV

WagonR 1999 Hatchback

Swift 2005 Hatchback

Grand Vitara 2007 Mini SUV

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DZire 2008 Sedan

Ritz 2009 Hatchback

Eeco 2009 Hatchback

Alto K10 2010 Hatchback

Ertiga 2012 Mini MPV

Alto 800 2012 Hatchback

Stingray 2013 Hatchback

Celerio 2014 Hatchback

Ciaz 2014 Sedan

Discontinued models

Model Launched Discontinued Category Image

Estilo August 2009 2013 Hatchback

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Gypsy E 1985 2000 SUV

1000 1990 2000 Sedan

Zen 1993 2006 Hatchback

Esteem 1994 2008 Sedan

Baleno 1999 2007 Sedan

Versa 2001 2010 Minivan

Grand Vitara XL7 2003 2007 Mini SUV

800 1983 2012 Hatchback

Alto 2000 2012 Hatchback

A-star 2008 2014 Hatchback

Maruti TrueValue

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Maruti True service offered by Maruti Suzuki to its customers. It is a market place for
used Maruti Suzuki Vehicles. One can buy, sell or exchange used Maruti Suzuki vehicles with
the help of this service in India. As of 31 March 2010 there are 342 outlets.

N2N Fleet Management

N2N is the short form of End to End Fleet Management and provides lease and fleet
management solution to corporates. Clients who have signed up of this service include Gas
Authority of India Ltd, DuPont, Reckitt Benckiser, Doordarshan, Singer India, National
Stock Exchange of India and Transworld. This fleet management service include end-to-end
solutions across the vehicle's life, which includes Leasing, Maintenance, Convenience
services and Remarketing.

Maruti Accessories

Many of the auto component companies other than Maruti Suzuki started to offer
components and accessories that were compatible. This caused a serious threat and loss of
revenue to Maruti Suzuki. Maruti Suzuki started a new initiative under the brand name
Maruti Genuine Accessories to offer accessories like alloy wheels, body cover, carpets, door
visors, fog lamps, stereo systems, seat covers and other car care products. These products are
sold through dealer outlets and authorized service stations throughout India.

Awards and recognition Exports

Maruti Exports Limited is the subsidiary of Maruti Suzuki with its major focus on
exports and it does not operate in the domestic Indian market. The first commercial
consignments of 480 cars were sent to Hungary. By sending a consignment of 571 cars to the
same country Maruti Suzuki crossed the benchmark of 300,000 cars. Since its inception
export was one of the aspects government was keen to encourage.Every political party
expected Maruti Suzuki to earn foreign currency. Angola, Benin, Djibouti, Ethiopia, Europe,

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Kenya, Morocco, Nepal, Sri Lanka, Uganda, Chile, Guatemala, Costa Rica and El Salvador
are some of the markets served by Maruti Exports.

The Brand Trust Report published by Trust Research Advisory, a brand analytics
company, has ranked Maruti Suzuki in the thirty seventh position in 2013 and eleventh
position in 2014 among the most trusted brands of India.Bluebytes News, a news research
agency, rated Maruti Suzuki as India's Most Reputed Car Company in their Reputation
Benchmark Study conducted for the Auto (Cars) Sector which launched in April 2012.

Research Methodology:

Research methodology is considered as the nerve of the project. Without a proper

well-organized research plan, it is impossible to complete the project and reach to any
conclusion. The project was based on the survey plan. The main objective of survey was to
collect appropriate data, which work as a base for drawing conclusion and getting result.

Therefore, research methodology is the way to systematically solve the research

problem. Research methodology not only talks of the methods but also logic behind the
methods used in the context of a research study and it explains why a particular method has
been used in the preference of the other methods

Data collection:

This report was prepared after collecting data from the customers and past data was
arranged from the various studies conducted in last few years and various other records of
Maruti cars Company.

Primary Data:

These data were collected by personal interview with customers for or these purpose
questionnaires were prepared in such that all necessary data would be collected.

Secondary Data:

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Information regarding the project, secondary data was also required. These data were
collected from various past studies and other sources like smart phone websites and particular
type of

Sampling method:

Random Sampling method

Sample size

50 consumers

Research tools:

Questionnaires

Research area:

Aurangabad city

Research design:

Research design is important primarily because of the increased complexity in the

market as well as marketing approaches available to the researchers. In fact, it is the key to
the evolution of successful marketing strategies and programmers. It is an important tool to
study buyer’s behavior, consumption pattern, brand loyalty, and focus market changes. A
research design specifies the methods and procedures for conducting a particular study.
According to Kerlinger, “Research Design is a plan, conceptual structure, and strategy of
investigation conceived as to obtain answers to research questions and to control variance.

Research design specifies methods and procedures for study. In this study the we are
going to understand customer’s approach towards smart phone, there views for selecting
particular type of smart phone. I a’minterested to know the demand of different smart phone
in Aurangabad city .

And to know why customers attracted towards expensive smart phone .

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Analysis Table

Name Gender Marital Occupation Level of satisfied

Status perception

Kiran Raut Male Unmarried Student Medium yes

Asmita R. Deshmukh Female Married Employee Medium Yes
Rahul Magar Male Married Employee Low No
Karanjeet Singh Male Married Employee Medium yes
Pranav Joshi Male Married Business Medium Yes
Yasmin Khan Female Married Business Medium Yes
Dinesh Kale Male Unmarried Student Medium Yes
Diksha Wawhule Female Unmarried Student Medium Yes
Mahesh Sadegaonkar Male Married Business Medium Yes
Ganesh Mane Male Married IT Medium Yes
Rutu Rajput Female Married Business Low No
Datta Chanewad Male Unmarried Student Medium yes
Ganesh Andhe Male Married Employee Medium Yes
Vishwas Mehta Male Married IT Low No
Swati Agrawal Female Unmarried Business Medium No
Ram Joshi Male Married Employee Low No
Sunil J. Kavde Male Married Business Medium Yes
Dhananjay Bahule Male Married Employee Medium Yes
Javed Pathan Male Married Business Medium Yes
Babita Deshpande Female Married Employee High Yes
Ankita Mundada Female Married Business Medium No
Arjun Wagh Male Married Business Medium No
Amit Joshi Male Married Employee Medium Yes
Pallavi Bajaj Female Married Business Medium Yes

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Kamlesh Bhosle Male Married Business High Yes

Govind Kakde Male Married Business Medium yes
Sunil Rajput Male Married Business Low No
mukesh Mehra Male Married Business Low No
Mahesh Avdhoot Male Unmarried Student Low Yes
Vinayak Kakde Male Married Employee High Yes
Arunrao Bhise Male Married Business Medium No
Monika Sharma Female Unmarried Student Medium Yes
Ankush Kulkarni Male Married Business Medium Yes
Ashok Ramteke Male Married Business Medium Yes
Naresh Swami Male Married Business Medium Yes
Divya Chittare Female Unmarried Student Medium No
Mahesh Tumma Male Married Business Medium No
Ashok Jindam Male Married Business Medium Yes
Kiran Rathod Male Married Employee Medium Yes
Anup More Male Married Business Medium Yes
Dipali Chandak Female Married Business Medium Yes
Anil Mahajan Male Unmarried Employee Low No
Mukta Devkar Female Married Business Medium yes
Aakash Karde Male Married Business Medium yes
Surekha Thigle Female Married Business Medium yes
Ganesh Jadhav Male Married Business Medium yes
Aryan Mulewar Male Unmarried Student Low No
Akash Aitla Male Married Business Low No
Swapnil Kundikar Male Married Business Low No
Pratik Deshmukh Male Married Employee Medium yes

*These are the consumer’s opinion in diagram

- Gender: - Male = 37 and Female = 13 Total = 50

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60

50

40

30

20

10

0
er = = =
end
*G

ale l
ale Fem ta
M to

- Level Of Perception About Performance Of Cars

Low = 11, Medium = 36 and High = 03

60

50

40

30

20

10

0
*Level of perception about performance of cars High

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- Level Of Satisfaction
34 out of 50 people are satisfied and 16 out of 50 people are dis-satisfied

60

50

40

30

20

10

0
el = = =
lev
on d
acti sfe
sf d ati
Sati sfe s-s l
* ti i ta
Sa D to

QUESTIONNAIRE

An Assessment of consumers perception towards Maruti cars in A’bad

 Name - _________________________________________

 Gender - Male Female

 Age – 2122-35 35-60 >60

 Marital Status - Married

Unmarried
 Occupation
Academician - Business IT
Student Employee

 Education - School 10+2

Graduation Post-Graduation

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 Income Level
(Monthly) - >25000 25000-50000
50000-100000 <100000

 Family size of respondent’s- ______

 Yearly usage of Maruti cars - ______

 Driving Km per day - ______

 Influencing factors while purchase -

DesignSafetyPrice
BrandMileageMaintenance cost

 Influencing person to refer cars

Dealers Family members

Friends & relativesSelf

 Level of perception about performance of cars –

LowMediumHigh

 Maintenance handling system -

ScheduledAs problem arisesPostpone

 Respondent’s satisfaction level-

Satisfied Dis-satisfied

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BIBLOIGRAPHY

Websites
- www.google.com
- www.wikipedia.com

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Conclusion:

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